Only a handful of Web3 brands have managed to reach as many mainstream consumers as the Pudgy Penguins NFT collection.
That’s why Igloo Inc., the parent company of Pudgy Penguins, is confident it can replicate its playbook with its new Abstract blockchain, a Ethereum layer 2 chain that aims to be the leader blockchain for consumer crypto products and applications.
In this article, we will explore the abstract concept of “mainstream cryptocurrency” and how and what it builds to bring the next billion users on-chain.
What is abstract?
Abstract is a ZK-rollup and layer 2 blockchain built on the Ethereum network, designed to provide low transaction fees and high scalability for consumer-focused applications and products.
Abstract is specifically designed to differentiate itself from the general-purpose architecture that most channels use, and focuses first on aligning the interests of developers and consumers through specific applications and protocols, like gaming and social platforms, then moves outward to popular on-chain activities like decentralized finance, or Challengeand banking services.
Abstract is EVM compatible, which means it can run applications designed and built for the Ethereum blockchain. Therefore, most existing Ethereum-based smart contracts can be easily ported to Abstract, allowing developers of already-built applications to offer their products to Abstract users with minimal modifications.
What is mainstream crypto?
In an Abstract blog, Luca Netz, leader of Igloo Inc. and Pudgy Penguins, explained his concept of “consumer cryptocurrency,” which refers to “blockchain-powered applications that serve billions of people in their daily lives for personal use.”
In other words, the apps that the average person is most likely to use in a given day, such as games or social platforms. Netz referenced OpenSea, a marketplace for NFTs and digital collectibles, and Pump.fun, a social and coin trading platform, as two examples of successful mainstream crypto platforms.
Other popular mainstream crypto applications include casinos, prediction markets, and betting sites.
Who builds Abstract?
Abstract is built by Igloo Inc, the parent company of the Pudgy Penguins NFT project, and Cube Labs, using zero-knowledge (ZK) technologies or cryptographic proofs that help verify transactions more securely and privately.
In June 2024, the company announced the acquisition of unlaunched NFT-focused Layer 2 network Frame and its development team to help create Abstract.
Subsequently, the company announced an $11 million fundraising round, led by Founder’s Fund with participation from other Web3 venture capital firms like 1kx and Fenbushi Capital.
What’s so special about the Abstract?
Abstract’s goal of bringing everyday people on-chain has led to several new developments that differentiate it from other blockchains.
Abstract wallet
Abstract has developed its own wallet for on-chain use, using new developments in account abstraction to allow users to create a wallet that requires no extensions or passphrases and does not require gas fees.
The Abstract Global Wallet uses passwords to allow users to log in without an email address or complex password, making it easier for users without a strong technical background to get started.
An example from the Abstract team features a user logging in and creating an NFT in just four clicks, far fewer than would be necessary in most on-chain scenarios today.
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The best part? User paid ZERO in gas fees using Abstract’s native account abstraction.
It’s the future. pic.twitter.com/C3N6HyqkR4
– cygaar (@0xCygaar) November 8, 2024
Panoramic governance
Abstract introduced Panoramic Governance, a new type of governance design aimed at better aligning the interests of developers and consumers on blockchain.
Panoramic Governance aims to actively encourage participation and voting in governance, while directly rewarding protocols that are most beneficial to blockchain.
It does this by sharing fees with active voters and letting them decide which projects should receive additional support, creating a cycle in which everyone benefits from collaboration.
What applications will be on Abstract?
Abstract’s growing ecosystem includes games, exchanges, and social products that are committed to opening when the Abstract mainnet goes live. Below, we’ve compiled a list of just a few of what Abstract will offer at launch.
Games
Games that rely on Abstract include fantasy sports like Prospect Sports and real-life (IRL) discoveries and treasure hunts like RealGo. Other games like Duper, a poker-meets-Catan strategy game, and idle RPG Onchain Heroes are also expected to launch on Abstract.
Social, IP and NFT
Social platforms like Multiplier.fun, a new take on a classic casino game, and NFT projects like Canna Sapiens have committed to Abstract.
Other projects looking to make Abstract their home include the Tinder-like swipe-based prediction marketplace Swipe and token launchpad Zoo.fun.
Infrastructure
Abstract’s infrastructure will host established Web3 products like Magic Eden, which will enable the trading of Abstract NFTs upon mainnet launch. The popular blockchain analytics suite Dune Analytics and LayerZero, a cross-chain messaging platform for cross-chain interoperability, will support Abstract from day one.
When will Abstract go live?
Currently, Abstract is only available through testnet, but the team has announced plans to launch the Abstract mainnet in January 2025.
Edited by Stephen Graves
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